Fluence Energy, Inc. · NASDAQ:FLNC
Fluence Energy — Q4 2021 Earnings Presentation
22 slides from Fluence Energy's earnings presentation, Dec 9, 2021
Slide 1: 4Q FY 2021 Earnings Presentation
4Q FY 2021 Earnings Presentation DECEMBER 9, 2021
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements This presentation contains certain forward-looking statements within the meaning of federal securities laws with respect to Fluence Energy, Inc. (“Fluence” or the "Company"). These forward-looking statements include, without limitation, statements regarding futu
Slide 3: Market Outlook, Business Strategy
Market Outlook, Business Strategy Manuel Perez Dubuc CHIEF EXECUTIVE OFFICER © Fluence Energy, Inc.. All rights reserved. | 3
Slide 4: Fluence is at the center of the global energy transition
Fluence is at the center of the global energy transition The clean energy transition will require ~$100 trillion (1) of investment The world has through 2050, with 194 GW of installed energy storage capacity by 2030 (2) finally decided to tackle climate change Digital Decarbonization Revolution Revo
Slide 5: Fluence is uniquely positioned to drive the global clean energy transition
Fluence is uniquely positioned to drive the global clean energy transition Proven Management Team with Category Creator with Global Disruptive Digital and Software Strong Balance Sheet and Strong Founders & Shareholders Track Record Products – Fluence IQ™ Liquidity 13 YEARS IN ENERGY STORAGE 1st EVE
Slide 6: Fluence energy storage and digital applications are expected to drive significant recurring revenues
Fluence energy storage and digital applications are expected to drive significant recurring revenues FLUENCE ENERGY STORAGE (1,2) FLUENCE SERVICES (1) FLUENCE IQ (1) 7,976 24% 31% Storage 2% Outlook (GW) (3) 34.2 CAGR 193.7 Traditional Wind TAM Growth CAGR 36% 22% Solar Hydro 20% 3.8 12.7 20% 1 2 1
Slide 7: Strong order in-take in all areas of the Fluence ecosystem
Strong order in-take in all areas of the Fluence ecosystem ENERGY STORAGE PRODUCTS ENERGY SERVICES FLUENCE IQ Contracted MW Contracted MW Contracted MW RECORD RECORD +744% RECORD 2,744 +55% 1,959 1,311 +194% +265% 844 821 749 1,010 279 232 205 0 0 FY2020A FY2021A Q4/FY’20A Q4/FY’21A FY2020A FY2021A
Slide 8: New orders and backlog driving momentum across business lines
New orders and backlog driving momentum across business lines FLUENCE ENERGY STORAGE FLUENCE SERVICES FLUENCE IQ • In Q4 signed the largest energy • In Q4 recognized a 100% services • We deployed Fluence IQ to storage portfolio in Europe at 105 attachment rate in EMEA region optimize the trading of
Slide 9: Key Takeaways
Key Takeaways 1 Enormous energy transition total addressable market for storage and digital applications; Fluence well positioned with scale, experience, and first mover advantage 2 Favorable momentum from governments seen at COP 26 & US Legislation 3 Long term strategic shareholders post IPO in Sie
Slide 10: Performance & Guidance
Performance & Guidance Dennis Fehr CHIEF FINANCIAL OFFICER © Fluence Energy, Inc.. All rights reserved. | 10
Slide 11: Key Performance Indicators
Order In-take Key Performance THREE MONTHS ENDED SEPTEMBER 30, FISCAL YEAR ENDED SEPTEMBER 30, Indicators (AMOUNTS IN MW) 2021 2020 CHANGE CHANGE % 2021 2020 CHANGE CHANGE % ENERGY STORAGE PRODUCTS FY 2021 & 4Q21 CONTRACTED 821 279 542 194.3% 1,311 844 467 55.3% Energy Storage Services • Record orde
Slide 12: Total Revenue
Total Revenue FY 2021 & 4Q21 Full-year Total Revenue Q4 Total Revenue ($ in millions) ($ in millions) RECORD +21% • Revenue increased approximately 21% from FY $681 2020 to FY 2021, driven by $561 increases in energy storage products revenue • Revenue decreased -21% from 4Q20 to 4Q21 -21% – Shipping
Slide 13: Gross Profit & Adjusted Gross Profit
Gross Profit & Adjusted Gross Profit Full-year Gross Profit Q4 Gross Profit FY 2021 & 4Q21 ($ in millions) ($ in millions) FY 2021 non-recurring expenses $12 • Non-recurring expenses adjustments of $84.2 $8 million to gross profit in FY 2021 included: – $23.6 million related to non-recurring excess
Slide 14: Adjusted EBITDA
Adjusted EBITDA FY 2021 & 4Q21 • Adjusted EBITDA of -$65 million reflects the increased investments made throughout Full Year Adjusted EBITDA(1) Q4 Adjusted EBITDA(1) the year to scale the business ($ in millions) ($ in millions) • Non-recurring expense adjustments included in FY 2021 Adjusted EBITD
Slide 15: FY 2022 total revenue guidance
FY 2022 total revenue guidance We are issuing FY 2022 total revenue guidance of $1.1 to $1.3 billion Our guidance is based on contracted backlog of $1.7 billion as of September 30, 2021, but also takes into consideration of potential delays in revenue recognition in FY 2022 based on shipping / Covid
Slide 16: Based on historic seasonality, ~70% of annual revenue is recognized in third and fourth quarter
Based on historic seasonality, ~70% (1) FISCAL YEAR ENDS 9/30 of annual revenue is recognized in Quarterly Q1 Q2 Q3 Q4 third and fourth quarter of any fiscal Seasonality aligned with historic 15% 15% 40% 30% year figures % OF ANNUAL REVENUE & % OF ANNUAL CONTRACTED MW Seasonal market demand drives c
Slide 17: Putting capital to work
Allocating capital according to our strategic framework AREAS IDENTIFIED INVESTMENT AREAS TARGETED CAPITAL ALLOCATION Global Product Manufacturing and Enhance Battery Supply Partnerships 1 Unit Economics STRUCTURED POST IPO CASH BALANCE $950M Specialized Channels + High Margin ENHANCE UNIT OFFERINGS
Slide 18: Appendix
APPENDIX © Fluence Energy, Inc. All rights reserved. | 18
Slide 19: Appendix: Non-GAAP Financial Measures & Reconciliations
APPENDIX: NON-GAAP FINANCIAL MEASURES & RECONCILIATIONS ($ in thousands) THREE MONTHS ENDED SEPTEMBER 30, FISCAL YEAR ENDED SEPTEMBER 30, 2021 2020 CHANGE CHANGE % 2021 2020 CHANGE CHANGE % NET LOSS $ (87,199) $ (1,106) $ (86,093) (7784.2) % $ (162,003) $ (46,710) $ (115,293) (246.8) % ADD (DEDUCT):
Slide 20: Appendix: Non-GAAP Financial Measures & Reconciliations
APPENDIX: NON-GAAP FINANCIAL MEASURES & RECONCILIATIONS ($ in thousands) THREE MONTHS ENDED SEPTEMBER 30, FISCAL YEAR ENDED SEPTEMBER 30, 2021 2020 CHANGE CHANGE % 2021 2020 CHANGE CHANGE % TOTAL REVENUE $ 188,205 $ 239,464 $ (51,259) (21.4) % $ 680,766 $ 561,323 $ 119,443 21.3 % COST OF GOODS AND S
Slide 21: Appendix: Non-GAAP Financial Measures & Reconciliations
APPENDIX: NON-GAAP FINANCIAL MEASURES & RECONCILIATIONS ($ in thousands) THREE MONTHS ENDED SEPTEMBER 30, FISCAL YEAR ENDED SEPTEMBER 30, 2021 2020 CHANGE CHANGE % 2021 2020 CHANGE CHANGE % NET LOSS $ (87,199) $ (1,106) $ (86,093) (7784.2) % $ (162,003) $ (46,710) $ (115,293) (246.8) % ADD (DEDUCT):
Slide 22: ESG is more than a responsibility. It's a mindset.
ESG is more than a responsibility. It’s a mindset. • Energy storage helps mitigate climate risk, reduce GHG emissions, enable higher renewable penetration, and Enabling Decarbonization, improve grid resiliency, stability, and reliability Resiliency, and Reliability • Our products provide zero direct